Answer:
$79,600
Explanation:
Solution
Given that:
Now,
The total wages = $96,400
The stock gain = $1600 and $4000
The saving Interest income = $100
Thus,
To determine Bob's and Sally's taxable income is as follows:
The taxable income = total wages + stock gain + Interest income from saving
So,
The taxable income = $96,400 + $1600 + $4000 + $100
Taxable income = $102,100
The itemized total deductions = $21,500
Tax credit = $1000
Taxable income = $102,100 - $21,500 = $80,600
Taxable income = $80,600 - Tax credit
Taxable income = $80,600 - $1000 = $79,600
Therefore Bob's and Sally's taxable income will be = $79,600